This will be the first EV of its kind for the two manufacturers, since Fiat bought Chrysler last year to save it from bankruptcy. The car will be developed by Chrysler though, and it will be an American-based car.
Reports say the lithium ion batteries for the 500EV will be developed by SB LiMotive's North American Development Center in Michigan and assembled in Springboro, Ohio.
Joachim Fetzer, executive vice president of SB LiMotive, said about the new partnership,
"Chrysler indicated that SB LiMotive earned this business because we can supply high-quality lithium-ion battery packs in the quantities needed, on-time to the market. Our established global footprint was a further strong point in our favor."
Reports say the car will launch in the US some time in 2012.